Path Dependence Perspective Research Articles

Does early-career underemployment impact future career success? A career path dependency perspective

This study examines the impact of three types of underemployment, i.e. level underemployment, content underemployment and contingent employment, on subsequent objective (i.e. salary) and subjective...

An Explanation of Chinese Telecommunication Regulation Policy Change: From the Perspective of Path Dependence

An Explanation of Chinese Telecommunication Regulation Policy Change: From the Perspective of Path Dependence

Business potential of sustainable energy in Korea: Hybrid method of various feasibility studies from path dependence and path evolution perspective

It is a common practice, in Korea as well as other countries, to use economic feasibility study for policy-maker or business communities before deciding substantial investments on sustainable energy projects especially photovoltaic industry in 2008. Many feasibility studies provided the basis for worldwide investments in the photovoltaic industry in 2008 by many Korean firms. In 2011, however, many firms have decided to withdraw from the photovoltaic industry and retract investments. This research analyzes the gap between the results of the conventional feasibility study and the reality in the perspective of path dependence and path evolution, and proposes a hybrid market feasibility study model to account for the gap. In other words, conducting conventional feasibility studies do not incorporate changes in economic feasibility due to changes in society and are thus not precise in predicting market feasibility when the business environment has changed. In addition, this study shows how policy support can create a bubble in the sustainable energy industry and distort the market value. Policy support is necessary, but must be implemented with right timing, contents and delivery system. ► We propose a hybrid market feasibility study from path evolution perspective. ► We examine policy supports in early stage of sustainable energy. ► We show how policy support may create a bubble in the sustainable energy industry and distort the market value. ► We explain why many companies, invested in sustainable industry few years ago, withdraw from the industry.

Challenges in the transformation to lean production from different manufacturing-process choices: a path-dependent perspective

The implementation of lean production remains popular among industrial companies, and the requirement for individualised steps in its implementation is widely accepted; however, research has not yet considered the different process choices available to the companies. The conclusions drawn from the automotive industry's mass production environment may be misleading, given the different conditions of many other industries. We therefore compare case data from a craft producer with the rich, case-study based literature of mass producer companies that highlight the transformation from mass to lean production. We derive a list of specific challenges a craft producer must approach using a different strategy than a mass producer. This study adds to the lean production theory by demonstrating how different manufacturing process choices influence the lean transformation process and its successful implementation. It provides specific propositions concerning the transformation to lean by considering the different processes of craft and mass production companies. Furthermore, the case study gives an in-depth understanding of the challenges a craft-oriented company faces when becoming lean.

Russian Autocracy Redux: Path Dependency and the Late Modern State

Path dependency emerged as a theoretical approach in the social sciences (specifically economics) in the 1980s, and has gradually been applied with greater frequency in political science. As a form of historical institutionalism, it shows promise of casting significant light on processes of political stability and change. The present study examines several large-scale defining traits of Russian politics and governance from the perspective of historical path dependence: to date, most applications of path-dependency theory to Russian studies have focused more on economics than politics and governance per se. This essay applies core ideas in path dependency theory to the case of Russia in the early twenty-first century, focusing on significant political traits that emerged during the Putin and Medvedev presidencies. This study proceeds from the view that politics revolves fundamentally around three core axes: identity, interests, and institutions; every aspect of political life, arguably, falls under one or more of these dimensions and all show path-dependent tendencies. The traits of Russian governance that show evidence of path-dependent self-replication include: (1) tendencies toward monocratic manifestations of political power; (2) political authority being conceived and exercised in neo-autocratic modes that deliberately control, marginalize, or patently exclude broad and efficacious participatory democracy; (3) an apparently instinctive trend toward political centralization; and (4) a tendency to vacillate historically between a weak and strong state, with powerful historical impulses toward the latter. By applying core ideas in path-dependency theory to the case of Russian politics in the early twenty-first century, our understanding is deepened.

The effect of human capital, social capital, and perceptual values on nascent entrepreneurs’ export intentions

This study investigates the influence of human capital, social capital, and cognition on nascent entrepreneurs' export intentions. The results indicate that while human capital and social capital influence the level of intended export, cognitive characteristics, such as self-efficacy and risk aversion, do not seem to influence entrepreneurs' intended level of export. The study makes three original contributions to international entrepreneurship research. The first one is the focus on “Real” Born Globals, i.e. entrepreneurs who express export intentions in the prefounding phase. The second is the focus on the individual-level factors rather than firm-level factors that explain export. Finally, the effect of experience is investigated from a path-dependency perspective rather than a “the-more-the-better” perspective. Our study suggests that it may be productive for researchers to look further into the concept of intention, as entrepreneurs' decision to internationalize presupposes a conscious intention of carrying out the action. Thus, the factors influencing the decision to internationalize may have been present prior to the founding of the venture.

Is nationalism left or right? Critical junctures in Québécois nationalism*

ABSTRACT. Sub-state nationalist parties of the industrialised West occupy different positions along the left–right political spectrum. Despite the similarities of their political agendas, these parties adopt different ideological identities. This paper seeks to explain the choice of party position and the long-term consistency of these positions by employing a path-dependent perspective. The focus is first, on the critical junctures during which such choices are made; and second, on the mechanisms of continuity ensuring the persistence of the left–right identities. The argument is explored within the empirical context of Québécois nationalism.

On China’s growing geo-economic influence and the evolution of variegated capitalism

China’s growing geo-economic clout globally has attracted significant research attention over the past few years. Rather than strictly adopt a national-specific and path-dependent perspective, this paper offers a nuanced perspective on the rationale of Chinese economic expansions overseas. I propose we view China’s growing geo-economic influence as a relational development, inextricably connected to broader changes in global capitalism, especially the failure of the US government to maintain confidence in the dollar. The paper probes critically the underlying logics of two recent developments: (1) the role of the China Investment Corporation (a new sovereign wealth fund) and state-owned enterprises (SOEs) in accessing new markets worldwide; and (2) the policies to extend the global reach of the Chinese yuan. I argue that these phenomena are concatenated to China’s broader aim to secure domestic economic security, given its vast holdings of dollar reserves and its macroeconomic constraints through the maintenance of a fixed foreign exchange regime. These developments in turn contour and sustain the evolution of the variegated global system of capitalism.

Introduction to the Special Issue: Path Dependence in Housing

The concept and perspective of path dependence has been given growing attention in the social sciences in the last decades. Path dependence is often seen as the basic causal mechanism influencing v...

Pension Reforms in Poland since Transition – From Path Departure to Path Dependence

Poland, traditionally a country with a Bismarckian pension system, implemented a reform in 1999 that transformed it into a multi-pillar system. However, some features of the new pension system are characterised by path dependent development. Privileges for certain beneficiaries, like a lower retirement age, were abolished in the new pension system, but were subsequently restored in part. This avoided the social and political costs that would have arisen if these privileges had been completely abolished. This paper analyses the process and outcome of the 1999 pension reform in Poland from the perspective of path dependence. It describes the political and economic framework in which the reforms took place, identifies the organised interests that were involved and argues that, while the introduction of the second and third pillar can be understood as path shaping, the change of the PAYG pillar is an incomplete path departure.

State Isomorphism in the Post-Socialist Transition

With the collapse of the communist regimes, the post-socialist countries are facing the problem of building new legal and institutional systems which will adequately address the needs of the markets. They also try to implement new reforms. But the transition towards economic and market reforms across the bloc has been very uneven, producing the countries-winners, countries-laggards, and countries-losers. There have been some attempts to explain that unevenness from the temporal path dependency perspective and from geographic proximity perspective. Can we explain this unevenness better drawing upon the theory of institutional isomorphism? This paper is not ambitious and built exclusively on literature review. It attempts to borrow from some middle-range social theories of institution building and, especially, the theory of institutional isomorphism by DiMaggio and Powell. It shows that some parts of the bloc seem to be surprisingly isomorphic. The paper suggests an explanation of the possible causes and applicability of the phenomenon of isomorphism in the post-Soviet bloc. In particular, it: 1) contrasts the facts of the transformation with the theory of institutional and organizational isomorphism, 2) makes a fair causal comparison with other explanations, 3) claims the adequate causal depth for the explanation, 4) points at an adequate causal mechanism of the transformation.

On and off the beaten path: The evolution of four technological systems in Sweden

This paper examines four Swedish case studies of technological systems from the perspective of path dependence: what are the similarities and differences in this regard between factory automation, electronics and computers, biotechnology, and powder technology? What are the distinctive features in each system which set it apart from similar systems elsewhere, and what role does path dependence play in explaining these features? The essential function of technological systems is to capture, diffuse, and magnify spillovers of technical and organizational knowledge: therefore, the nature of knowledge (i.e., the characteristics of knowledge and how it can be transmitted) in each system determines what types of spillovers are likely to occur, as well as the mechanisms through which they occur. Other important influences are the initial conditions and the institutions (including both organizations and rules of the game).